Benefits of Outsourcing Print and Mail – Reduce Costs, Risks, Increase Efficiency
April 21, 2017 Categories: Industry News, Marketing Tags: mail, marketing, outsourcing, print, reduced costs
Benefits of Print Management and Mail Outsourcing
There are many benefits to outsourcing printing, especially when outsourcing print management completely including printing, mailing, document management, multichannel delivery, and even marketing. Businesses in nearly every industry work hard to increase profits. They can do this in a number of ways. In addition to increasing their customer base, most businesses focus on reducing costs, reducing risks, or increasing efficiency. One proven method for accomplishing all three is to outsource print and mail production. Think of document outsourcing as delegating these tasks to a third party who is better equipped to handle these costly and time-consuming expenditures. With print outsourcing and our full-service suite of printing and workflow tools, businesses can optimize their business operations and focus on their core competencies.
Business Process Outsourcing
You might have heard the term business process outsourcing, also known as BPO services, but what is BPO?
BPO is when a company contracts their basic day-to-day business operations to a BPO service provider. This allows a company to focus more on their core competencies of the business. There are several types of BPO services:
- Print and Mail (both internal and customer statements and documents)
- Customer Service
Benefits of Outsourcing Printing
One of the most popular business process outsourcing categories is print outsourcing and mailing. We are going to look at the advantages of outsourcing printing vs. in-house printing.
The top reason most companies outsource their print or mail fulfillment is to reduce expenses. Handling these tasks in-house can be very costly in both equipment and personnel requirements. A low-end commercial laser printer costs about $50,000 and a high-end continuous digital color press can run as high as $5 million. To achieve the lowest, per-page print cost, the production volume of a company’s print jobs must justify the price of the equipment. The same rationale holds true for mailing equipment. A new, non-intelligent mail inserter will cost $50,000, while a fully automated intelligent machine with tracking can run close to $1 million. That’s a significant amount of capital to tie up in equipment that has a five-year life expectancy. The expenses don’t stop with the initial investment. Print and mail equipment must be regularly maintained, requires a dedicated space, and trained operators to run them. For many companies, it makes more sense to let the outsource document companies take the investment risk on equipment and staffing.
Another concern when dealing with print-mail production and fulfillment is dealing with sensitive customer data. Companies in many highly regulated industries – including finance, healthcare, and insurance – are required to have a documented disaster recovery plan. The disaster recovery plan must be in place in the event that a print or mail facility is damaged or compromised by situations such as long-term power outages, flood threats, fires, or even natural disasters. For example, FSSI, a Document Outsourcing Specialist, can switch operations on short notice to its remote disaster recovery facility in Dallas Texas, almost 1,500 miles away from its main facility in Santa Ana, California. The disaster recovery facility runs every day using trained operators, backup printers, mailing machines, servers, and alternative internet connections. Having a backup solution gives FSSI’s clients the confidence to know that their critical deadlines will always be met. Print management is an often overlooked aspect of a business and companies should be wise to learn more about the advantages of outsourcing your document management.
Savvy business leaders know what their core competencies are and what tasks are best performed by a third party. Using a print and mail specialist’s advanced technology, commercial equipment, trained operators, and expert knowledge of the industry gives businesses an important competitive advantage. Additionally, using an experienced print and mail outsource company will ensure consistency, accountability, and high-quality work every time.
FSSI has a long working relationship with the USPS. This relationship and expert knowledge ensure that FSSI will organize each mailing so that its customers receive the best postage rates possible. FSSI also provides customers with a database address correction service where incorrect addresses are replaced with the USPS version. This service gives FSSI customers ensured delivery with 24-hour tracking and reporting that cuts the guesswork out of their mailings.
Print outsourcing and mailing services with FSSI is a sound and proven business strategy that enables companies to minimize capital investments in equipment; avoid long-term lease commitments for production space; reduce paper, postage, and production costs; improve and stabilize cash flow; generate reports to satisfy compliance auditors; and reduce the risk of a costly data breach. FSSI eliminates the need to contract with multiple outside parties to accomplish business goals because it’s a one-stop shop solution. Its customers gain the advantage of reduced costs and, most importantly, reduced errors.
When companies find ways to reduce costs, reduce risk, and increase efficiency, everybody wins.
For more information on the advantages of outsourced print management, please read FSSI’s special report download, The Top 10 Reasons to Outsource Printing and Mail